Kolkata Trade License

Trade license, also known as a business license, is a permit that is issued by the Government to an individual or a company to run a business. These licenses are used across the country and must be obtained from the respective State government for the performance of the trade. In this article, we look at the procedure for obtaining Kolkata trade license.

Kolkata Municipal Corporation Act, 1980

As per Section 199 of the Kolkata Municipal Corporation Act 1980, "Every person engaged in any profession, trade or calling in Kolkata as mentioned in Schedule IV, either by himself or by an agent or representative, shall obtain a certificate of enlistment or get the same renewed annually from the Municipal Commissioner upon presentation of an application in such form as may be specified by the Municipal Commissioner together". According to Section 199 of the Kolkata Municipal Corporation Act 1980, the licensing department of Kolkata Municipal Corporation grants the Certificate of Enlistment. After the licensee remits the scheduled rates/ fee/charges of license department and approved by the Corporation in such case the applicant can collect the certificate. The license department of the Corporation acts as the principal Department in processing the applications and the collection of fees. As per the rules laid by the Municipal Corporation of Kolkata, it is mandatory to obtain a Certificate of Enlistment, which in West Bengal holds equal significance to a trade license.

Need for the License

Trade license is a legal permit to regulate a business from a particular region. This license certifies that the manner and the locality of a particular business are in accordance with the rules, standards and safety guidelines that are implemented by the concerned Department. The provisions of trade license are laid by the State Government, which holds power to monitor the trade within a city. After the issuance of the license, renew it periodically, at least 30 days before the expiry date of the license through the renewal application form.

Required Documents

The documents required for obtaining a trade license varies according to the types of business and the place where it has to be executed. Place of Business

Furnish the tax bill if the petitioner owns the business.
Furnish the rent bill if the tenant owns the business.
Furnish the lease-deed if lessee owns a business.
Furnish a consent letter if the owner of the business is provided rent-free accommodation by the owner.
Furnish a consent letter along with the current CE of the tenant if the owner of the business is provided rent-free accommodation by any bonafide tenant.
Furnish the consent of the house owner if the business owner is a sub-tenant (in addition to other documents such as rent bill, current CE, etc.).
If a trade/ profession/ calling is carried out without obtaining a trade license, the concerned Department issues a spot CE.

The documents mentioned below have to be submitted if the trade license is to be obtained by a Private Limited Company.

Memorandum/Articles of Association
Declaration made in Form No. 32
Occupancy proof
Application in Form No. 18

Besides the submission of the required forms and documents, an individual has to provide an affidavit or a declaration certifying that the concerned person (the business owner or the person behalf of the company) will be held responsible for any discrepancy or illegal activity. The certificate of enlistment stands cancelled on discovering any malpractice in the submitted documents. For a partnership firm to obtain a trade license, submit the partnership deed.

Application Procedure

Following are the steps to obtain a Trade License in Kolkata: Step 1: Approach the Municipal Corporation To start with, the applicant has to approach the concerned municipal corporation department. Step 2: Obtain the Application The applicant has to obtain the application from the respective officer. Step 3: Enter the Details Mention all the mandatory details in the application form. Step 4: Attach the Documents Based on the nature of trade, the applicant needs to attach the documents to the application form. Step 5: Submit the application On completing all the procedures, submit the application to the concerned officials.

Issuance of Certificate

After making the required enquires, the Municipal Commissioner issues the certificate of enlistment within thirty days of submission of the application if the applicant has abided with all the rules and regulations.

Fee Structure

A fee of Rs. 10 has to paid to obtain the application form from the concerned authorities.

Renewal of License

A trade license doesn't hold lifetime validity, and hence must be renewed at regular time intervals. However, he/she need not go through the pain of filing an application or any other forms for the same. When the hour strikes, the Corporation issues a demand notice to the concerned licensee stating the need for renewal. The concerned person may renew it by remitting the appropriate fee at the respective counters mentioned in the demand notice. Remit payment in cash, cheque, demand draft or pay order drawn in favour of the Kolkata Municipal Corporation. On making payment, send the demand notice to the applicant will act as the trade license. If the licensee fails to receive the demand notice, he/she has to furnish a copy of the recently paid trade license in addition to a declaration stating that his/her trade details such as the name of the trade, area covered by the location in square feet, address of the trade, nature of the trade, place and date. The applicant will obtain the duplicate copy of the demand notice.

Company Registration

OPC Registration